1.
It's your business - you may not be able to
approach the transaction from an independent, detached
viewpoint - which is necessary when unexpected
obstacles arise.
2.
Establishing a value for your business is no easy
task, it requires a keen understanding of the market
and knowledge of industry accepted valuation
techniques.
3.
Few business owners take the time to prepare a
complete offering memorandum. A buyer's first
(and lasting) impression is made when he/she reviews
the documentation provided.
4.
Marketing your business to as many buyers as possible
is the only way to ensure the best price is
obtained. This runs counter to most owners
desire to work exclusively with the first buyer that
comes along. Remember, one buyer is no
buyer.
5.
You need to concentrate on managing the business at
hand and not be distracted by the myriad of buyer
inquiries.
6.
A business owner working alone can lose bargaining
effectiveness when following up with potential
buyers. An intermediary is able to contact
buyers without tipping their hand regarding the
eagerness of a seller.
7.
Every buyer should be thoroughly qualified. In
their eagerness, owners tend to get wrapped up in a
buyer showing interest and fail to ascertain first
whether the buyer is qualified.
8.
Confidentiality is essential to protect the value of
the business. An intermediary is able to keep
secret the identity of the company for sale. A
business owner acting on their own would have to go to
great lengths to achieve the same
anonymity.
9.
Through proper screening of buyer prospects an
intermediary is able to phase the release of
information to match the growing evidence of buyer
sincerity and trustworthiness.
10.
The negotiation process can be long and arduous.
A seller acting on their own may get a price they are
happy with but fail to capitalize on favorable terms
throughout the remainder of a purchase
agreement.